The Reserve Bank of India (RBI) has appointed an Advisory Committee to assist the Administrator of Aviom India Housing Finance Private Limited after superseding the company’s board of directors. The central bank had earlier appointed Ram Kumar, former Chief General Manager of Punjab National Bank, as the Administrator of the troubled financial institution.
The three-member Advisory Committee, constituted under Section 45-IE (5) (a) of the RBI Act, 1934, will aid the Administrator in carrying out his responsibilities. The members of the committee include Paritosh Tripathi, former Chief General Manager of State Bank of India, Rajneesh Sharma, former Chief General Manager of Bank of Baroda, and Sanjaya Gupta, former Managing Director and CEO of PNB Housing Finance Limited.
The formation of the committee aligns with the provisions of the Insolvency and Bankruptcy (Insolvency and Liquidation Proceedings of Financial Service Providers and Application to Adjudicating Authority) Rules, 2019, which mandate the appointment of a Committee of Advisors to guide the Administrator in managing the financial service provider’s operations during the corporate insolvency resolution process.
The move follows RBI’s action to initiate the Corporate Insolvency Resolution Process (CIRP) against Aviom India Housing Finance under the Insolvency and Bankruptcy Code (IBC), 2016. The New Delhi Bench of the National Company Law Tribunal (NCLT) is handling the case, with an interim moratorium in place from the date of filing until the tribunal’s admission or rejection of the application.